Australia vs New Zealand Rent vs Buy Calculator

Use our rent vs buy calculator Australia New Zealand to compare outcomes side-by-side and find your break-even faster.

Rent vs. Buy Break-even Comparer

Find the point where buying becomes the better financial choice

Australia Scenario

New Zealand Scenario

Advanced Assumptions

Methodology & Assumptions

This calculator compares the net wealth outcomes of buying versus renting over time. It accounts for non-recoverable costs (interest, maintenance, rates, insurance), tax implications for investors (CGT & Bright-line), and the opportunity cost of investing your deposit and upfront fees. All ongoing costs are escalated by inflation (CPI). Results are an estimate and should not be considered financial advice.

Why compare rent vs buy across the Tasman

Australia and New Zealand share many market traits, yet costs, mortgage settings, and price-to-rent ratios differ by city and country. As a result, the decision to rent or buy can flip based on time horizon, rent inflation, and transaction costs. This calculator reveals when buying overtakes renting or when renting plus investing remains ahead.

Rent vs buy calculator Australia New Zealand: How it works

  • Break-even analysis: Compares a buyer’s net equity after selling costs and remaining loan to a renter’s invested pot (deposit plus annual savings). Edit inputs like rent growth, maintenance, body corp, insurance, and transaction costs to reflect real markets.
  • City presets: Load typical median prices, weekly rents, mortgage rates, and ongoing costs for Sydney, Melbourne, Brisbane, Perth, Auckland, Wellington, and Christchurch, then tweak to match personal scenarios.

Fast city-to-city comparisons

Use city chips or dropdowns to preload values and re-run results in a click. Compare Sydney vs Auckland, Melbourne vs Wellington, or Brisbane vs Christchurch to see how local dynamics shift the break-even year. Then, adjust deposit, rates, growth, and rent inflation for sensitivity tests.

When buying tends to win

Buying usually pulls ahead when the holding period is longer, rent inflation is steady, and transaction costs are spread over more years. In addition, moderate maintenance and competitive rates can move the break-even earlier—especially in suburbs with balanced yields.

When renting can stay ahead

If the plan is a short stay, transaction costs are high, or expected price growth is modest, renting plus investing can outperform buying. Moreover, renting preserves flexibility for relocation and reduces exposure to renovation or special levy surprises.

Pro tips to refine results

  • Separate rent inflation from CPI to test different market paths and stress-test affordability.
  • Include buying and selling costs so break-even reflects true exit cash (e.g., agent fees and legal).
  • Compare multiple timeframes (5, 10, 15 years) to see how time horizon shifts outcomes.
How is break-even defined here?

It’s the first year the buyer’s net sale proceeds minus remaining loan and selling costs exceed the renter’s invested balance under the same period.

Which inputs matter most?

Time horizon, rent inflation, price growth, mortgage rate, and transaction costs typically have the largest impact on the break-even year.

Why do cities differ?

Price-to-rent ratios, rates, body corp/rates, and typical maintenance levels vary by city, changing the timeline.

Related tools on our site

Make your comparison even more comprehensive with these additional tools:

External resources

For wider market context, consult Reserve Bank of Australia and Reserve Bank of New Zealand mortgage statistics, plus REINZ and ABS housing indicators. These sources complement the calculator’s personalized analysis without replacing financial advice

Disclaimer: This calculator provides estimates based on the inputs and assumptions you provide. Consider consulting with qualified financial advisors and property professionals before making major financial decisions.